How To Fix 5G572 - Employer tax reference &1 is not valid for island &2

SAP Error Message - Details

• Message type: E = Error

• Message class: 5G - HR: Messages for Britain

• Message number: 572

• Message text: Employer tax reference &1 is not valid for island &2

What causes this issue?

An invalid employer tax reference has been entered for the offshore
island.

System Response

The system issues an error message and will not allow you to continue with this transaction until the error is resolved.

How to fix this error?

Valid tax references formats are:
Isle of Man: one letter, six digits, one letter and two digits (eg
A123456A12).
Jersey: two letters, five digits and one letter (eg AA12345A).
Guernsey/Alderney: one digit, one letter, one space, six digits (eg 9A
123456)

Procedure for System Administrators

Error message extract from SAP system. Copyright SAP SE.

Smart SAP Assistant

• What is the cause and solution for SAP error message 5G572 - Employer tax reference &1 is not valid for island &2 ?

  The SAP error message 5G572, which states "Employer tax reference &1 is not valid for island &2," typically occurs in the context of payroll processing, particularly when dealing with tax calculations and reporting in the UK or other regions where tax references are required.
  Cause:
  This error usually arises due to one of the following reasons:
  
  Invalid Tax Reference: The employer tax reference (ETR) provided in the system does not match the expected format or is not recognized for the specified island (region).
  Configuration Issues: There may be a configuration issue in the payroll settings, where the tax reference is not correctly linked to the specific island or region.
  Data Entry Errors: There could be a typographical error in the tax reference number entered in the employee's master data or payroll records.
  Missing Data: The required tax reference may not have been entered for the employee or may not be set up in the system.
  
  Solution:
  To resolve this error, you can take the following steps:
  
  Verify Tax Reference: Check the employer tax reference number entered in the employee's master data. Ensure it is correct and follows the required format.
  Check Configuration: Review the payroll configuration settings for the specific island or region. Ensure that the tax reference is correctly set up in the system.
  Update Master Data: If the tax reference is missing or incorrect, update the employee's master data with the correct employer tax reference.
  Consult Documentation: Refer to SAP documentation or your organization's payroll guidelines to ensure compliance with local tax regulations.
  Contact Support: If the issue persists after verifying the above, consider reaching out to your SAP support team or a consultant who specializes in SAP payroll for further assistance.
  
  Related Information:
  
  SAP Notes: Check for any relevant SAP Notes that may address this specific error or provide additional guidance.
  Payroll Configuration: Familiarize yourself with the payroll configuration settings in SAP, particularly those related to tax calculations and employer references.
  Testing: After making changes, perform a test run of the payroll to ensure that the error is resolved and that the payroll calculations are accurate.
  
  By following these steps, you should be able to identify and resolve the cause of the error message 5G572 in SAP.